There’s a lot of side quests when it comes to Diamond’s Chapter 11/Chapter 7 drama. There’s numerous lawsuits that have spun out of it, dozens depending on how you want to count them. One of the more dramatic ones is Alliance Entertainment‘s lawsuit against Diamond and its associates.

In April 2025, Alliance Entertainment submitted a complaint against Diamond accusing Diamond of “fraud” and “deception” as far as their relationship with Wizards of the Coast, the company behind Magic: The Gathering. Wizards did not continue its distribution agreement past December 2024 and didn’t inform Alliance. Diamond and its representatives actually attempted to obfuscate it and keep it from Alliance during the deal.

That lawsuit has been slow, but ongoing, and now we have the next steps as it looks like there might be an agreement when it comes to discovery.

Discovery is the process where documents need to be handed over to lawyers allowing them to gather evidence. Emails, documents, internal chats, those are all examples of discovery and it can involve millions of documents depending on the lawsuit.

The following is what’s proposed:

(a) Discovery Requests. The Parties shall serve all document requests, interrogatories, and requests for admissions on or before March 16, 2026.
(b) Substantial Document Production Completion Date. Document production shall be substantially completed by June 8, 2026.
(c) Fact Discovery Cut Off. The Parties have agreed that, except for Rule 26(a)(1) disclosures, all fact discovery in this case will be completed on or before July 20, 2026. The Parties have agreed that they may take fact depositions at any time prior to the expiration of the fact discovery deadline.
(d) Privilege Logs. Privilege logs shall be produced in accordance with the Federal Rules of Civil Procedure so as to be completed within fourteen (14) business days of the related document production. Privileged communications occurring after April 29, 2025, need not be included on a privilege log.
(e) Experts. The Parties do not presently intend to call any expert witnesses. To the extent that changes, the Parties will meet and confer to discuss deadlines pertaining to expert discovery.

Also mentioned:

4. Protective Orders and ESI Protocol. The Parties will submit a confidentiality order and ESI Protocol to the Court for approval on or before April 3, 2026.
5. Case Dispositive Motions. Any dispositive motions must be filed thirty (30) days after the completion of fact discovery. Answering briefs in opposition thereto are due thirty (30) days later, with reply briefs to be filed fourteen (14) days after the filing of any answering briefs.
6. Joinder of Other Parties and Amendment of Pleadings. All motions to join other parties, and to amend or supplement the pleadings, shall be filed on or before April 24, 2026.
7. Pretrial Order. If this adversary proceeding cannot be resolved on dispositive motions, the Parties have agreed to file a Joint Pretrial Report within thirty (30) days of the Court’s ruling on dispositive motions.
8. Length of Trial. The Parties estimate that the time required to try this adversary proceeding will be four (4) days.

This is a pretty big step for this case to proceed and looks like we’ll get more about the middle of the year when it comes to a resolution and decision, if not before.

Check out the full documents below: